Altria Group dividend yield calculator – Altria Group’s 8.5% Yield Presents Big Risks for Top 20 Dividend Growth Stock Investors.

February 5, 2023

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Altria Group dividend yield calculator – Altria Group ($NYSE:MO) Inc. is one of the top 20 dividend growth stocks, offering an 8.5% yield to investors. Altria Group is a multinational conglomerate headquartered in Richmond, Virginia that specializes in tobacco products. Altria is the parent company of Philip Morris USA, U.S. Smokeless Tobacco Company, John Middleton, Nat Sherman, Ste. Michelle Wine Estates and Philip Morris Capital Corporation. Altria Group is one of the most iconic household brands, with products such as Marlboro cigarettes, Copenhagen snuff, and Black & Mild cigars. Altria Group is exposed to the risks associated with tobacco products, including regulation and litigation.

As regulations around smoking become increasingly stringent, Altria Group has had to adjust its marketing and product offerings to comply with ever-changing laws. The company has also faced numerous lawsuits over the years related to the health risks posed by its products. Altria Group’s dividend growth rate has also slowed in recent years, as the company has shifted its focus towards acquisitions and investments in other sectors such as cannabis and alcohol. While these investments could lead to greater returns in the future, there is no guarantee that they will be successful. Investors should carefully consider the potential rewards and risks before investing in Altria Group.

Dividends – Altria Group dividend yield calculator

The Altria Group is well known for its generous dividend yields and has been a top-20 dividend growth stock for the past three years. The company’s dividend yields from 2020 to 2022 are 7.44%, 7.53%, and 8.41%, with an average dividend yield of 7.79%. Given these attractive dividend yields, investors looking for dividend stocks may want to add the Altria Group to their list of consideration.

However, the high 8.5% yield also poses some risks that should be considered before investing in the company. First of all, the company’s dividends are not guaranteed and can be cut or reduced at any time. The company’s dividend yield is higher than average, which often reflects a poor outlook for the company’s future earnings or stock price. Therefore, it is important to consider the company’s performance and prospects before investing in its stocks. Second, the company’s stock price is highly sensitive to changes in the tobacco industry due to regulatory changes and public opinion shifts. These factors can influence public demand for Altria’s products, leading to a decrease in revenues and profits. Finally, the company’s high dividend yields may be difficult to sustain over the long term. Many investors use dividend stocks for income and stability, so a decrease or elimination of dividends could lead to losses on the investment. Therefore, it is important to consider the risks associated with investing in Altria Group before considering it as a potential investment opportunity.

About the Company

  • Industry Classification
  • Key Executives
  • Ownership (Institutional/ Fund Holdings)
  • News Feed
  • Income Snapshot

    Below shows the total revenue, net income and net margin for Altria Group. More…

    Total Revenues Net Income Net Margin
    20.69k 5.76k 27.9%
  • Income Statement Reports (Yearly/ Quarterly/ LTM)
  • Income Supplement
  • Growth Performance
  • Cash Flow Snapshot

    Below shows the cash from operations, investing and financing for Altria Group. More…

    Operations Investing Financing
    8.3k 1.21k -10.03k
  • Cash Flow Statement (Yearly/ Quarterly/ LTM)
  • Cash Flow Supplement
  • Balance Sheet Snapshot

    Below shows the total assets, liabilities and book value per share for Altria Group. More…

    Total Assets Total Liabilities Book Value Per Share
    36.95k 40.88k -2.23
  • Balance Sheet (Yearly/ Quarterly)
  • Balance Sheet Supplement
  • Key Ratios Snapshot

    Some of the financial key ratios for Altria Group are shown below. More…

    3Y Rev Growth 3Y Operating Profit Growth Operating Margin
    1.5% 4.9% 58.5%
    FCF Margin ROE ROA
    39.1% -184.4% 20.5%
  • Income Statement Ratios
  • Balance Sheet Ratios
  • Cash Flow Ratios
  • Valuation Ratios
  • Other Ratios
  • Other Supplementary Items
  • Price History

    At the time of writing, the media sentiment towards Altria Group is mostly mixed. On Monday, Altria Group stock opened at $44.2 and closed at $44.5, up by 0.8% from its previous closing price of $44.1. With market conditions changing quickly, investors need to be aware of the potential risks associated with investing in Altria Group’s 8.5% yield. The 8.5% yield indicates that the company’s dividend payout ratio is high, which means that it is paying out a larger portion of its profits as dividends. This can be a sign of financial weakness and could indicate that the company is not generating enough money to sustain its dividend payments in the long-term.

    In addition, tobacco stocks are typically not seen as a safe investment due to the health risks associated with smoking and the declining demand for cigarettes in many countries. Altria Group has been able to offset some of these risks by diversifying its portfolio, but this may not be enough to protect investors from potential losses if the company’s performance continues to decline. While the high yield could provide a steady income stream in the short-term, investors should consider the long-term risks before investing in this stock. Live Quote…

    VI Analysis

    ALTRIA GROUP‘s long-term potential can be easily analysed with the help of the VI app. This app takes into account the company’s fundamentals and assigns a VI Risk Rating. After careful evaluation, ALTRIA GROUP has been assigned a medium-risk rating, indicating that it is a viable investment option in terms of both financial and business aspects. Despite the overall positive rating, the VI App has detected two risk warnings in ALTRIA GROUP’s income sheet and balance sheet. These could be potential threats to the company’s long-term stability and should be taken into consideration before committing to an investment.

    The VI App is a powerful research tool that provides investors with a comprehensive overview of a company’s financial health. It is an invaluable asset for those looking to make informed decisions about their investments. By registering with the app, investors can quickly and easily check out ALTRIA GROUP’s risk warnings and assess the company’s long-term potential.


    Peers

    The tobacco industry is fiercely competitive, with Altria Group Inc up against Swedish Match AB, Imperial Brands PLC, British American Tobacco PLC, and other companies. All are vying for a share of the global tobacco market, which is estimated to be worth $837 billion.

    – Swedish Match AB ($LTS:0GO4)

    Founded in 1862, Swedish Match is a leading manufacturer of tobacco products with a portfolio of well-known brands, including Red Man, Timber Wolf, and White Owl. The company also produces a wide range of smokeless tobacco products, including snus and moist snuff, as well as cigars and matches. Swedish Match is headquartered in Stockholm, Sweden, and has operations in more than 90 countries.

    Swedish Match has a market capitalization of 167.51 billion as of 2022 and a return on equity of -107.57%. The company’s products are sold in more than 90 countries around the world.

    – Imperial Brands PLC ($LSE:IMB)

    Imperial Brands PLC is a tobacco company with a market cap of 19.07B as of 2022. The company has a Return on Equity of 50.52%. Imperial Brands PLC is a leading international tobacco company, with products sold in over 160 countries. The company’s portfolio includes well-known brands such as Gauloises, West, and Rizla. Imperial Brands PLC is committed to providing shareholders with long-term value through a combination of growth and dividend income.

    – British American Tobacco PLC ($LSE:BATS)

    British American Tobacco PLC is a large multinational tobacco company with operations in over 50 countries. The company has a market capitalization of over $73 billion as of 2022 and a return on equity of 8.35%. British American Tobacco is one of the world’s largest producers of cigarettes and other tobacco products. The company’s brands include Dunhill, Lucky Strike, and Pall Mall. British American Tobacco also has a strong presence in the e-cigarette and vaping market with its Vype and glo brands.

    Summary

    Investing in Altria Group, a top 20 dividend growth stock, presents a high risk for investors due to its 8.5% yield. Currently, media sentiment for the company is mostly mixed. For investors looking to make an informed decision, it is important to consider both the risks and rewards associated with the stock, such as current dividend yields and future dividend growth. Other factors to consider include the company’s financials, industry trends, and overall market conditions. Altria Group is a large, established company in the tobacco industry with a long history of dividend payments, making it an attractive option for investors looking for steady income.

    However, with any investment, investors should evaluate the company’s prospects for long-term growth and how its stock price may be affected by industry and market conditions.

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